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User blog:Jpprales/Tips to Surviving as a Tokyo Private School Jet (2018) Part Three: Finances
'Finances ' (Let’s Talk About Money!) I had a horrible experience with banking during my first few months of being settled in. Prior to working in Tokyo, I had studied abroad and it was at that time I opened a bank with Yokohama Ginko (Bank of Yokohama) where I received money when I worked a part-time job during my year abroad. While this may seem like a godsend for most first-year JETs, as it saves the hassle of making a new bank account, it came with some very real problems. Namely, I was not able to get credit with my current bank so I decided to shop around a bit. 'What You Will Need for Your Bank Account' ' ' This is just a small recap list of what JET will likely tell you to do before you start bank searching: Establish residency Register your address in your local city hall Make a hanko (Personal Seal) Create a cell phone (also consider internet for e-banking) I have no professional or non-professional advice on these either. I think I was just very lucky to be able to figure it out in a timely manner. How you obtain each is dependent on the decisions you will have to make, but reaching out to your co-workers will likely be the best solution for check marking these “To Open a Bank Account” quest items. 'Credit and Debit Cards (Can You Get It and Where?)' During my earlier days in JET, around September of last year, I was worried that it was impossible for us Gaijin to get'' '' any kind of adequate credit here. After doing a bit of bank shopping I found that SMBC (Sumitomo Mitsui Banking Corporation) '' 'offers both Credit AND Debit cards to foreigners. '' This. This. This. '''I need you to understand how important having a debit card is and how uncommon it is for even Japanese people to own a debit card.' '' '''A credit card is not essential to life in Japan but it makes your life much more convenient. It also gives you a greater sense of financial security; given you don’t go crazy with your credit. ''' '' '' My Credit Card also works as my IC banking card, so instead of carrying around a cash card, I can just slide my credit card in on the side with the chip. This will come in handy when you wish to withdraw money or check your balance. Also, Keep in mind that your starting credit limit will be around 200,000 Yen (around 1,8300.00 USD). This amount of credit you can use goes up rather quickly, assuming that you make payments on time. SMBC’s payment schedule works like this: The amount charged on your card, each month, will be scheduled for you to pay back, in full, by the end of the following month. From around the 12th of each month the statement of charges on your card will reset and the previous month’s amount you will have to pay at the end of the current month. For example: Using net banking '(YES SMBC HAS NET BANKING !)' my credit card bill for the month will post until let’s say the 28th of the month. At the end of the 28th, they will take that amount of money from my bank account and anything that I charged on my card after the 12th of the SAME month will then show on my card AFTER that money has been received. '' 'Therefore, the transactions you have charged after the 12th of each month will show up AFTER the end of the month’s billing cycle (around the 28th)' I know it can be a little confusing but it is important to understand that credit in Japan is based on the idea that everything you charge, you will pay back at the end of the month. 'Other Alternatives' While I have no direct experience with banks outside of Yokohama Ginko and SMBC, I was informed that Rakuten clears foreigners for Credit/Debit cards. This is an alternative if you can't find an SMBC or have any issues there. 'Paying in Installments '''So how do you pay for something in smaller payments? Well, you can do it physically at a store when you use your credit card. Upon checkout, you will be asked',' “Nan bai gruai?” '''which translates roughly to “How many times do you want to pay for this?” ' If you want to do 6 months then you will have to use the appropriate response, '“Roku (6) bai gruai desu.” which translates to, “I would like to pay 6 times (once per month).”''' Additionally, Amazon.co.jp 'also offers paying in installments IN ENGLISH'!'' (This is important) '' 'Financial Advice (Every Bit of My Two Cents)' ' ' I am not a financial advisor, so I will not pretend to be. This is an account of tips and tricks I used for saving and monitoring my spending while living abroad. Everyone has their own way of doing things and I personally don’t think that there is one particular “right way” to budget. There are however just as many wrong ways. Let me start by asking the question, “Did you notice that I left “Social” as the last big topic, specifically after finances?” '''The reason I did this is to stress that while it is important to have a social life, it can be detrimental to your ability to manage money. My first three months I spent over a third of my income on social events that had no positive long-term effects on my stay in Japan. Around Christmas of last year, I made up my mind that the next year I would prioritize things like, buying food and saving for unexpected situations (emergency funds). An important thing to note is that '''social activities and hangouts will likely cost you anywhere from 3,000 yen (around 27.00 USD) to 10,000 yen (90.00 USD) an event. That means if you go out more than once or twice a week, a large amount of your money is spent on short-term ends. Sure, have fun and enjoy Tokyo, but DO NOT just spend it all on late-night hangouts and bar hopping. If you factor in transportation fees on top of spending for social experiences the amount of money spent can rack up quickly. What I suggest is staying local and finding places that have good prices and positive atmospheres. If you stick to "The Five Stop Rule" I spoke of in my previous post, it will also help make navigating back home much cheaper and easier after a long night of well…. Karaoke. 'Quality of Life via. Locations' Who doesn’t love the quality of life changes? Finding affordability and convenience in Japan requires a large amount of ' '''window-shopping'. After work or during the weekend, take some time to explore what stores you have locally (especially see if there is a supermarket).' This will potentially help you create a routine for buying essentials that will counteract impulse purchases or need the help, which can lead to you and your friend going out of their way for something. To aid in finding the things you need at stores, carry a pocket dictionary or use a free application like TAKOBOTO . '''Make sure to take advantage of point cards too.' A friend or co-worker can get you set up using a point card and potentially save a few dollars here and there. With cards like Waon, you can get around 10% of your yen spent back as points that can be used for buying things. ' ' Avoid using Convenience Stores as an end-all solution to your problems. Yes, they are very useful and you can potentially solve all your food and drink needs by making a daily visit there. Convenience stores do not add a huge variety to your diet and can actually be (I know I will get backlash for this) somewhat unhealthy. '''Cooking is an asset to living a good life '''ANYWHERE '''and the quality of food that you eat also directly affects your physical/mental performance and pocketbook. '''Locating a n earby drugstore is also another huge essential. Locating the nearest drugstore should be second on the list after you determine where you will be buying food from. Finally, on this list, things like a hair salon (this is debatable), gym, sports/recreation center, and other non-essentials can seem important and make you feel more at home, but they are not a priority. 'Focus on them last as they will also contribute towards the diminishing funds in your bank account. ' ' 'Amazon.co.jp & The Internet (Life With Easy Mode Activated) ' ' Do you like things done the easy way? Do you have a working credit card and or debit card, address, cell phone number, email address, and 10 minutes time to spare? Well then, I just want to congratulate you on hitting the lottery when it ' '''comes to locations that have access to '''SAME DAY' Amazon expedite shipping. Do yourself a favor, make an Amazon.co.jp account and become a prime member (around 500 to 900 yen a month depending on your package). Free expedited shipping is the most amazing thing I always wanted back home. If I order before 9:00 am JST, I receive my packages the same day and I can be precise with prices and quality. Amazon.co.jp also allows you to change user interface settings to English. Amazon Fresh lets you pick foods that you wish to have delivered and you can even set a scheduled time, which they will deliver your food. In my personal experience and after around two years of living in Japan, I would use Amazon.co.jp over shopping for anything other than food or medicine. It reduces the cost of transportation and the hassle of searching, which saves you time and money. 'Living in Tokyo you likely pay more due to cost of living, so taking advantage of things like this is essential for balancing out your spending. 'By the Power of Wish Lists! (My Personal Budgeting Technique) ' Online shopping also allows you to budget easier with one giant tool. Wishlists. By creating a wish list and giving yourself ' time intervals when you can spend money, you can initially prioritize what is essential and what is not. I make my wishlists one week in advanced from spending and then I decide which items are not essential and start marking them off gradually throughout the week. This cuts back on needless spending and allows me to categorize the things I need to live a better life in Japan. Of course, anything I need immediately I can just buy and receive the same day, which cuts back on the hassle of having to go shopping physically after a long day of work. Keep in mind that''' this is the reason I mentioned that when house hunting, finding a place with a large mailbox unit is very important!' ' ' Overall, spending in any direction will be something that you should address and justify to yourself at any given time'. Sometimes simply asking yourself the question, “Was that worth my money.” is all it takes.''' Category:Blog posts